Why Does It Work?
The software as service, or software on demand, model would not be possible without two key enablers: the cost of hardware and the existence of a global networking infrastructure. Since the late 1990s, a series of new companies has been built with the software on demand model. As already noted, you could consider Yahoo! and eBay as software as service because, at the end of the day, the fundamental vehicle for them to deliver content, email, auctions, CDs, clothes, or books is software that has been uniquely crafted and delivered as an online service.
Along with these large consumer-oriented players, a group of young companies focused on delivering software as services has emerged. To illustrate, let's consider a few case studies: ...
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